News | March 19, 2025

ABVC BioPharma Maintains Lucrative Global Licensing Agreements And Promising CDMO Acquisition, Strengthening Growth Potential

ABVC BioPharma, Inc., a clinical-stage biopharmaceutical company focused on innovative treatments in ophthalmology, CNS (central nervous system), and oncology/hematology, provides an update on its cash milestone payment receivables per global licensing agreements and $60M CDMO acquisition, reinforcing its strategic positioning for long-term growth. With three major global licensing agreements across psychiatric disorders, ophthalmic medical devices, and oncology, coupled with a fully integrated pharmaceutical manufacturing facility, we believe that ABVC is well-positioned to generate revenue and expand its commercial footprint.

$19M in Global Licensing Agreements Securing Future Cash Revenue
Since 2023, ABVC has executed three global licensing agreements valued at $959M, structured with upfront payments, milestone-based revenues, and commercialization royalties. These agreements are expected to contribute an aggregate of approximately $19M in cash revenue in 2025, in line with ABVC’s strategic financial planning.

  • Partner 1 (Global MDD & ADHD Licensing Agreement) – Potential $667M licensing deal for ABVC’s major depressive disorder (MDD) and attention-deficit/hyperactivity disorder (ADHD) drug candidates.
  • The MDD therapeutics market is projected to reach $14B by 2027, with antidepressant drug sales growing at a CAGR of 6.2%.[1]
  • The ADHD market is expected to exceed $24B by 2032, fueled by increasing diagnoses and demand for innovative treatment solutions.[2]
  • Partner 2 (Global Vitargus Ophthalmic Medical Device Licensing Agreement) – Potential $187M global licensing deal for Vitargus, ABVC’s biodegradable vitreous substitute for retinal detachment surgery.
  • The ophthalmic medical device market is projected to grow at a CAGR of 5.1%, reaching $120B by 2033.[3]
  • Vitargus would improve post-surgical outcomes, addressing a $3.5B market with over 1.8 million retinal detachment surgeries performed annually – an internal survey.
  • Partner 3 (Global Oncology Licensing Agreement) – Potential $105M worldwide licensing deal covering ABVC’s oncology drug candidate, targeting Pancreatic Cancer, NSCLC, TNBC, and MDS conditions.
  • The global oncology drug market is expected to surpass $533B by 2028, growing at a CAGR of 12.6%.[4]
  • ABVC’s plant-derived oncology treatment offers a potentially safer and more effective alternative to existing therapies.

These agreements establish a strong revenue pipeline and underscore ABVC’s growing presence in the global pharmaceutical market.

$60M CDMO Acquisition Enhancing Vertical Integration
ABVC acquired a Contract Development and Manufacturing Organization (CDMO) in 2019 for $60M and uses it to enhance in-house drug development, manufacturing, and commercialization capabilities. The facility provides:

  • Cost Reduction & Efficiency – In-house manufacturing lowers costs and improves operational efficiency.
  • Revenue Diversification – The CDMO offers contract manufacturing services to third-party pharmaceutical companies, generating additional revenue.
  • Scalability – The facility can support commercial-scale production as ABVC’s pipeline advances.

The CDMO market is projected to reach $191B by 2029, growing at a CAGR of 7.0%, positioning ABVC to leverage this growing demand for contract manufacturing services.[5]

Market Capitalization vs. Asset Value: Unlocking Growth Potential
ABVC’s current market capitalization reflects a growing portfolio, which includes multiple global licensing agreements and its CDMO acquisition. The company continues to advance commercialization efforts with the goal to enhance shareholder value. Based on its current agreements, ABVC anticipates approximately $19M in cash revenue in 2025, subject to execution timelines and market conditions.

As the company executes on its commercialization roadmap, ABVC anticipates significant revenue growth, reinforcing its position as a key player in the global biopharmaceutical and medical device markets. With a total addressable market exceeding $500B across its three therapeutic areas,[6] we believe that ABVC is strategically positioned for long-term value creation and market expansion.

For more information, visit www.abvcpharma.com.

For more information about ABVC and its subsidiaries, stay updated on the latest updates or visit https://abvcpharma.com. Visit https://biolite-japan.com for more information on BioLite Japan. ABVC urges its shareholders to sign up on the Company’s website for the latest news alerts; visit https://abvcpharma.com/?page_id=17707

About ABVC BioPharma & Its Industry
ABVC BioPharma is a clinical-stage biopharmaceutical company with an active pipeline of six drugs and one medical device (ABV-1701/Vitargus) under development. For its drug products, the Company utilizes in-licensed technology from its network of world-renowned research institutions to conduct proof-of-concept trials through Phase II of clinical development. The Company’s network of research institutions includes Stanford University, University of California at San Francisco, and Cedars-Sinai Medical Center. For Vitargus, the Company intends to conduct global clinical trials through Phase III.

[1] https://www.industryarc.com/Research/Antidepressant-Drugs-Market-Research-502395

[2] https://www.globenewswire.com/news-release/2024/12/17/2998038/0/en/Attention-Deficit-Hyperactivity-Disorder-Market-to-hit-USD-24-6-billion-by-2032-says-Global-Market-Insights-Inc.html

[3] https://www.globenewswire.com/news-release/2024/10/01/2956514/0/en/Ophthalmic-Devices-Market-Is-Expected-To-Reach-Revenue-Of-USD-120-3-Bn-By-2033-At-5-1-CAGR-Dimension-Market-Research.html

[4] https://www.biospace.com/oncology-drugs-market-to-reach-usd-532-91-billion-by-2031-coherent-market-insights

[5] https://www.globenewswire.com/news-release/2025/01/30/3018164/0/en/Global-CDMO-Market-Set-for-7-0-CAGR-Growth-Surpassing-191-Billion-by-2029.html

[6] https://www.evaluate.com/press_release/evaluate-releases-2030-forecasts-for-global-pharmaceutical-market/

Source: ABVC BioPharma, Inc.